DUX COMPANY Comparative Balance Sheets December 31, 2018 and 2017 (S in 000s) 2018 2017 Assets Cash 5 55 $ 27 Accounts receivable 41 56 Less: Allowance for uncollectible accounts (3) (2) Dividends receivable 6 5 Inventory 95 90 Long-term investment 27 24 Land 95 75 Buildings and equipment 194 220 Less: Accumulated depreciation (34) (60) $ 476 $ 435 Liabilities Accounts payable $ 76 $ 83 Salaries payable 7 10 Interest payable 10 5 Income tax payable 5 7 Notes payable 20 0 Bonds payable 80 55 Less: Discount on bonds (2) (3) Shareholders' Equity Common stock 210 200 Paid-in capitalexcess of par 24 20 Retained earnings 56 58 Less: Treasury stock (at cost) (11) 0 $ 476 $ 435 DUX COMPANY Income Statement For the Year Ended December 31, 2018 ($ in 0003) Revenues Sales revenue $270 Dividend revenue 6 $276 Expenses Cost of goods sold $160 Salaries expense 39 Depreciation expense 10 Bad debt expense 1 Interest expense 8 Loss on sale of building 4 Income tax expense $ 30 252 Net income 3 24